Quote Originally Posted by chrismarte View Post
sir JM, dedepende ba sa halaga ng property kung magkano ko nabili pag nag pagawa ako ng deed of sale?
bro, generally, it is the purchase price of the property that you (as the buyer) and the seller have agreed upon that should be stated in the deed of sale. the price agreed upon is also the basis in arriving the capital gains tax due (6.5%) as well as the documentary stamp tax (1%). however, there are some people, in order to evade payment of the right taxes, that declares an amount lower than the agreed purchase price. for example, they agreed 1M as purchase price but yung inilagay nila sa deed of sale ay 500k lang. (i'm not saying that you do it ). please take note that the BIR in computing the CGT and DST will base it with the purchase price as stated in the deed of sale OR the BIR's zonal valuation of the property, whichever is higher (so if you lower the price, you need to take into account the zonal valuation).
i hope that helps.